SECURITIES AND EXCHANGE COMMISSION

                          WASHINGTON, D.C.  20549

                                 FORM 10-K

               Annual Report Pursuant to Section 13 or 15(d)
                  of the Securities Exchange Act of 1934

                 For the Fiscal Year Ended:  June 30, 2002

                     Commission File Number:  2-73692

                    The Balanced Opportunity Fund L. P.
          (Exact name of registrant as specified in its charter)

           Illinois                                              36-3655854

          (State or other jurisdiction of                    (I.R.S. Employer
           incorporation or organization)                   Identification
No.)


              c/o Rosenthal Collins Futures Management, Inc.
                      216 W. Jackson Blvd. Suite 300
                            Chicago, IL  60606
                 (Address of principal executive offices)



Registrant's telephone number, including area code:  (312) 460-9200

Indicate by check mark whether the registrant (1) filed all reports required to
be file by Section 13 or 15 (d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.


               Yes  X                   No


The registrant is a limited partnership and, accordingly, has no voting stock
held by non-affiliates or otherwise.

The prospectus included in the partnership's registration statement, Form S-18,
No. 2-73692 is incorporated by reference into Part IV of this Form 10-K.





<page>






















                                  PART I

ITEM 1.  Business

     (a)  General Development of Business

     The Balanced Opportunity Fund, L.P. (the "Partnership") is a limited
partnership organized in July, 1989, pursuant to a Limited Partnership
Agreement under the Uniform Limited Partnership Act of the State of Illinois
and funded through an offering of limited partnership units.  The Partnership
commenced trading on March 23, 1990.  The Partnership conducts speculative
trading of commodity interests.

     Upon commencement of trading, approximately eighty percent of the
Partnership's assets was invested in zero coupon United States Government
Treasury securities ("notes") so as to yield (I) $1,000 per unit, plus (II) a
five percent compound annual yield approximately six and one-half years after
the commencement of trading (the "Guaranteed Yield Pool").  Persons who redeem
units prior to the approximate six and one-half year period have no such
assured return.  The Guaranteed Yield Pool zero coupon note matured in
February 1998 and in accordance with the Fund's limited partnership agreement,
a special redemption at the Fund's net asset value was offered to investors on
February 28, 1998.  A new zero coupon was purchased after the special
redemption offer expired.  As of June 30, 2002 and 2001, the maturity value of
the notes amounted to $0 and $1,350,000 respectively.   The remainder of the
Partnership's assets was invested in speculative trading of commodity
interests.

     The Balance Opportunity Fund Limited Partnership will terminate on
December 31, 2009 or upon the occurrence of certain events as discussed in
the limited partnership agreement. See Note 12 to the consolidated financial
statements.

     Rosenthal Collins Futures Management, Inc., a Delaware corporation wholly
owned by Rosenthal Collins Group L.P., is the General Partner of the
Partnership.  In May of 1998 Rosenthal Collins Group, an Illinois Limited
Partnership, ("the broker"), was enlisted to act as the commodity clearing firm
for the Partnership and it performs various administrative services for the
fund.  Services performed for the Partnership by the commodity broker or the




General Partner under the terms of the Customer and the Limited Partnership
Agreements, include the following:


     1.  Executes all trades on behalf of the Partnership based on instructions
of the Partnership's Trading Manager.

     2.
       Maintains the Partnership books and records, which limited partners or
their duly authorized representatives, may inspect during normal business hours
for any proper purpose upon reasonable written notice to the General Partner.

     3.  Furnishes each limited partner with a monthly statement describing the
performance of the Partnership, which sets forth aggregate management fees,
     incentive fees, brokerage commissions and other expenses incurred or
accrued by the Partnership during the month.

     4.  Forwards annual certified financial statements (including a balance
sheet and a statement of income and expenses) to each limited partner.

     5.  Provides to each limited partner tax information necessary for the
preparation of his annual federal income tax return and such other information
as the CFTC may by regulation require.

     6.  Performs secretarial and other clerical responsibilities and furnishes
office space, equipment and supplies as may be necessary for supervising the
affairs of the Partnership.

     7.  Administer the redemption of Units.

     Under the terms of the Customer Agreement, the Partnership pays brokerage
commissions to the commodity broker of $50 per round turn per contract for
futures contracts.

       The Partnership pays the General Partner, Rosenthal Collins Futures
Management, Inc., an annual brokerage fee equal to an annual rate of four
percent of the average month-end net assets as a whole, as defined, during the
year.

     RXR serves as the Trading Manager and is responsible for selecting all
commodity transactions.  RXR is not affiliated with Rosenthal Collins Futures
Management or with Rosenthal Collins Group.  For their services, RXR receives a
consulting fee equal to an annual one percent of the month end net assets,
before commissions and charges, of the Fund as a whole.  The Fund pays a
quarterly incentive fee based on new appreciation on Partnership assets
attributable to the Trading Manager, which includes the Partnership's interest
income.  Such quarterly incentive fee will equal 15% of trading profits.  If
the fund should incur net losses subsequent to any such payment to the Trading
Manager, the Trading Manager shall be entitled to retain amounts previously
paid by the Fund; however, no subsequent fee will be paid until the Trading
Manager's allocation of equity has experienced new appreciation.


Regulation

     Under the Commodity Exchange Act, as amended (the "Act"), commodity
exchanges and futures and options trading are subject to regulation by the
Commodity Futures Trading Commission (the "CFTC").  The Act requires




"Commodity Pool Operators," such as the General Partner and "Commodity
Trading Advisors," such as the Trading Manager, to be registered and to comply
with various reporting and record keeping requirements.  The CFTC may suspend a
Commodity Pool Operator's or Trading Advisor's registration if it finds that
its trading practices tend to disrupt orderly market conditions or in certain
other situations.

     In the event that the registration of the General Partner as a Commodity
Pool Operator or any Trading Manager's registration as a Commodity Trading
Advisor were terminated or suspended, the General Partner and the Trading
Manager, respectively, would be unable to continue to manage the business of
the Partnership.  Should the General Partners' registration be suspended,
termination of the Partnership might result.  The Act also requires the
commodity Broker to be registered as a "Futures Commission Merchant."

     In addition to such registration requirements, the CFTC and certain
commodity exchanges have established limits on the maximum net long or net
short position which any person may hold or control in particular commodities.
 The CFTC has adopted a rule requiring all domestic commodity exchanges to
submit for approval speculative position limits for all futures contracts
traded on such exchanges.  Most exchanges also limit the changes in commodity
futures contract prices that may occur during a single trading day.

     The partnership may trade on foreign commodity exchanges, which are not
subject to regulation by any United States government agency.

     (b) Financial Information about Industry Segments

     The Partnership operates in one business segment, speculative trading of
commodity futures contracts.  The Partnership does not engage in sales of goods
or services.

     (c) Narrative Description of Business

     See Items 1 (a) and (b) above.
     (i) through (xii) - not applicable
     (xiii) - the Partnership has no employees

     (d) Financial information about foreign and domestic operations and export
sales

     The Partnership does not engage in sales of goods or services.  See
"Paragraph 1(b) Financial information about industry segments."



                                  PART II

Item 2.  Properties

     The Partnership does not own any properties.

Item 3.  Legal Proceedings

     The General Partner is not aware of any pending legal proceedings to which
the Partnership or the General Partner is a party.





Item 4.  Submission of Matters to a Vote of Security Holders.

     None.

Item 5.  Market for Registrant's Common Equity and Related Stockholders Matters

     (a) Market Information

     There is no trading market for the Units, and none is likely to develop.
Units are transferable only after written notice has been given to the General
Partner.

     Units may be redeemed upon fifteen days notice at their Net Asset Value
(as defined in the Limited Partnership Agreement) as of the end of any calendar
quarter, less any early redemption penalty as provided in the Limited
Partnership Agreement.

     (b) Holders

     As of June 30, 2002, there were 80 holders of the Limited Partner Units.
653 units were outstanding on this date, including 111 units of General
Partnership interest.

     (c)  Dividends

     There were no dividends or distributions made in respect of the Units and
any future distributions will only be made at the discretion of the General
Partner.

Item 6.  Selected Financial Data

     The following page contains a summary of selected consolidated financial
data for the Partnership for the fiscal years ended June 30, 2002, 2001, 2000,
1999 and 1998.
<page>





              The Balanced Opportunity Fund Limited Partnership
                         Selected Financial Data

                           2002      2001      2000      1999      1998
Investment income:
   Interest               $ 86,000  $  89,000  $ 34,000  $  73,000
                                                                   $ 166,000
  Realized gain            30,000      5,000   11,000     54,000    19,000
  Unrealized market value
    Income (loss)         (41,000)    19,000   59,000     (3,000)
                                                                     139,000
  Interest income           2,000     10,000   17,000     23,000    34,000

  Total investment income   77,000    123,000  121,000    147,000   358,000

Expenses:
  Brokerage commissions     55,000     65,000   86,000    115,000   135,000
  Consulting fees           13,000     16,000    20,000     28,000
                                                                      30,000
  Other administrative
expenses                    80,000     72,000    61,000     78,000
                                                                      96,000
   Total expenses         148,000    153,000   167,000    221,000
                                                                     261,000

  Net investment income
  (loss)                  (71,000)   (30,000)  (46,000)   (74,000)
                                                                      97,000

Realized and unrealized
gain (loss) from
investments and foreign
currency:
  Net realized gain
  (loss) from futures
  trading                  63,000    101,000  (60,000)
                                                          118,000    440,000
  Net realized gain
  (loss) from foreign
  currency transactions  (3,000)      (4,000)   (3,000)    1,000     (4,000)
                           60,000     97,000  (63,000)  119,000    436,000

Net increase (decrease)
in unrealized
appreciation
(depreciation) on open
futures
  positions                 9,000    (42,000)    21,000
                                                            8,000   (102,000)

  Net realized and
  unrealized income
  (loss) from investments
  and foreign currency
  transactions             69,000     55,000   (42,000)
                                                          127,000    334,000

  Net income (loss)
  resulting from
  operations             $ (2,000) $  25,000 $ (88,000)
                                                         $ 53,000  $ 431,000

 Total Assets         $1,293,000   $1,411,000
                                               $1,871,000
                                                         $2,572,000
                                                                    $2,934,000





 Total Liabilities    $   43,000   $   26,000
                                               $   98,000
                                                         $  310,000
                                                                    $  140,000
<page>




       The Balanced Opportunity Fund Limited Partnership
    Selected Financial Data (Cont.)

 Partners' Capital
   Limited Partners
     Units                     542        610        823      1,032      1,433
     Value              $1,038,000 $1,172,000
                                              $1,562,000 $2,042,000 $2,578,000

   General Partner (111
  Units)                   212,000    213,000
                                                 211,000    220,000    216,000
 Total Partners' Capital
                        $1,250,000 $1,385,000 $1,773,000 $2,262,000 $2,794,000

 Total Liabilities &
Partners' Capital       $1,293,000 $1,411,000
                                              $1,871,000 $2,572,000 $2,934,000

 Net Asset Value per
Unit - Limited Partners
                         $ 1915.13 $  1921.31
                                               $ 1897.93  $ 1978.49  $ 1950.29
 Net Asset Value per
Unit - General Partner   $ 1909.91 $  1918.92  $ 1900.90  $ 1978.49  $ 1943.94

 Net income (loss)
resulting from
operations per Limited
Partner Unit                 $(6)       $23       $(96)       $28      $237
 Net income (loss) in
net assets resulting
from operations per
General Partner Unit         $(9)       $18       $(81)       $35       $240

See Note 9 to the consolidated financial statements for basis of the net
income (loss) resulting from operations per units calculation.
<page>





Item 7.  Management's Discussion and Analysis of Financial Condition and
Results of Operation

Liquidity

     Reference is made to "Item 6.  Selected Financial Data" and "Item 8.
Financial Statements and Supplementary Data."  The information contained
therein is essential to, and should be read in conjunction with the following
analysis.

     Most United States commodity exchanges limit fluctuations in commodity
futures and options contract prices during a single day by regulations referred
to as "daily price fluctuation limits" or "daily limits."  During a single
trading day, no trades may be executed at prices beyond the daily limit.  Once
the price of a futures contract has reached the daily limit for that day,
positions in that contract can neither be taken nor liquidated.

     Commodity futures and options prices have occasionally moved the daily
limit for several consecutive days with little or no trading.  Similar
occurrences could prevent the Partnership from promptly liquidating unfavorable
positions and subject the Partnership to substantial losses which could exceed
the margin initially committed to such trades.  In addition, even if commodity
futures and option prices have not moved the daily limit, the Partnership may
not be able to execute futures trades at favorable prices if little trading in
such contracts is taking place.  Other than these limitations on liquidity,
which are inherent in the Partnership's commodity futures and options trading
operations, the Partnership's assets are highly liquid and are expected to
remain so.

Capital Resources

     The Partnership does not intend to raise any additional capital through
borrowing.  Due to the nature of the Partnership's business, it will make no
significant capital expenditures, and substantially all its assets are and will
be represented by cash, deposits with futures commission merchants and
commodity futures investments.  Inflation is not a direct factor in the
Partnership's profitability although it can influence the attitudes of current
investors or potential investors.

Market and Credit Risk

     The Partnership engages in the speculative trading of U.S. and foreign
futures contracts, options on U.S. and foreign future contracts, and forward
and nonfinancial contracts held as part of a diversified trading strategy.
The Partnership is exposed to both market risk, the risk arising from changes
in the market value of the contracts; and credit risk, the risk of failure by
another party to perform according to the terms of a contract.

     For derivatives, risks arise from changes in the market value of the
contracts.  Theoretically, the Partnership is exposed to a market risk equal
to the value of futures and forward contracts purchased and unlimited
liability on such contracts sold short.  As both a buyer and seller of
options, the Partnership pays or receives a premium at the outset and then
bears the risk of unfavorable changes in the price of the contract underlying
the option.  Written options expose the Partnership to potentially unlimited




liability; for purchased options, the risk of loss is limited to the premiums
paid.

     It is believed that credit risk is minimal as no borrowing has been
conducted in the name of the Partnership.   The portion of Partnership assets
held in zero coupon bonds (75%-80%) is subject to interest rate fluctuations,
but regarded as a relatively low-risk investment.  Between twenty and twenty-
five percent of assets are used for speculative purposes on exchange traded
futures contracts.  The commodity trading advisor engaged by the Partnership
typically utilizes between 15% to 20% leverage as part of risk management in
it's trading strategy.

     The General Partner has established procedures to actively monitor and
minimize market and credit risks.  The General Partner reviews the trading
advisor's market activity on a daily basis and is appraised of general futures
market activity on an ongoing basis.  The Limited Partners bear the risk of
loss only to the extent of the market value of their respective investments
and, in certain specific circumstances, distributions and redemptions received.

Results of Operations

     Net realized and unrealized gains (loss) from investments and foreign
currency posted a net gain of $69,000 for the year ended December 31, 2002 as
compared to a net gain of $55,000 in 2001 and a net loss of $42,000 in 2000.
The majority of profits were made in long positions in stock market indices as
well as long-term bond instruments, both foreign and domestic.

     Fund units are redeemed on a quarterly basis.  During the fiscal year
ending June 30, 2002, 68 units with a total value of $133,000 were redeemed.
During fiscal year 2001 redeemed units equaled 213 with a value of $413,000.
There were 209 units redeemed in 2000 for a total of $401,000.

Item 8.  Financial Statements and Supplementary Data

     Financial statements meeting the requirements of Regulation S-X are listed
on page F-1 of this report.

     The supplementary financial information, specified by Item 302 of
Regulation S-K, is not applicable.

Item 9.  Disagreements on Accounting and Financial Disclosure

     None.








                                 PART III

Item 10.  Directors and Executive Officers of the Registrant

     The Partnership has no directors or executive officers.  The Partnership
is managed by its General Partner.  The Trading Manager makes trading




decisions for the Partnership.  The General Partner is Rosenthal Collins
Futures Management, Inc., which is owned by Rosenthal Collins Group, L.P.
The address of the General Partner is 216 W. Jackson Blvd.  Suite 300,
Chicago, Illinois 60606.

Item 11.  Executive Compensation

     The Partnership has no directors or officers.  The Partnership is managed
by the General Partner as described in "Item 1.  Business" herein.

     During the past year, RXR acted as the Partnership's sole Trading Manager,
pursuant to the Management Contracts described in "Item 1.  Business."  For the
years ended June 30, 2002 and 2001, RXR was paid $13,000 and $16,000,
respectively, in consulting fees.  For the years ended June 30, 2002 and 2001,
Rosenthal Collins Futures Management, Inc. has been paid $27,000 and $35,000,
respectively, in brokerage fees, and Rosenthal Collins Group has been paid
$28,000 and $30,000, respectively, in brokerage clearing commission.

Item 12.  Security Ownership of Certain Beneficial Owners and Management

     (a) Security Ownership of Certain Beneficial Owners

     The Trading Manager, RXR, owns no units in the Partnership.  On June 30,
2002 Rosenthal Collins Futures Management, Inc., the General Partner, owned
16.8% of the Fund.

     (b)  Security Ownership of Management

     Under the terms of the Limited Partnership agreement, the Partnership's
affairs are managed by the General Partner and the Trading Manager has
discretionary authority over the Partnership's commodity investments.  As of
June 30, 2002 the General Partner's interest in the Partnership was worth
$212,000.

     (c) Changes in Control

     The Fund's General Partner is Rosenthal Collins Futures Management, Inc.,
a Delaware corporation.  The General Partner was a wholly-owned subsidiary of
Rodman & Renshaw Capital Group, Inc. until April 24, 1998 when it was sold to
Rosenthal Collins Group, L.P., an Illinois Limited Partnership.  Rosenthal
Collins Group, L.P. is a registered Futures Commission Merchant and has served
as the clearing broker for The Balanced Opportunity Fund, L.P. since April 24,
1998.  Prior to that date, Rand Financial Services was the clearing broker for
the Fund.  In March of 1999, Rodman & Renshaw Futures Management Inc. changed
its business name to Rosenthal Collins Futures Management, Inc..

     J. Robert Collins is a General Partner of Rosenthal Collins Group and is
the President of Rosenthal Collins Futures Management, Inc., the General
Partner of the Balanced Opportunity Fund, L.P.


Item 13.  Certain Relationships and Related Transactions


     Refer to Item 12, section (c)





     The General Partner, Rosenthal Collins Futures Management, Inc., is a
corporation wholly owned by Rosenthal Collins Group.

     All charges are described in Item 1. Business, and amounts paid are
described in Item 11. Executive Compensation.




                                  PART IV

Item 14.  Exhibits, Financial Statement Schedules and Reports on Form 8-K

     (a)  (1)  Financial Statements

          See Index to Financial Statements on page F-1.

     (a)  (2)  Financial Statements Schedules

        Schedules are omitted for the reason that they are not required or are
not applicable or that equivalent information has been included in the
financial statements or the notes thereto.

     (a)  (3)  Exhibits

        (3)  Articles of Incorporation and By-laws

       a.  Limited Partnership Agreement (attached to the Prospectus as Exhibit
B)

       b.  Subscription Requirements (attached to the Prospectus as Exhibit B)

       c.  Power of Attorney (attached to the Prospectus as Exhibit B)

       d.  Request for Redemption (attached to the Prospectus as Exhibit D)

          (10)  Material Contracts

       a.  Brokerage Agreement between the Partnership and Rosenthal Collins
Group, L.P.

       b.  Advisory contract between Registrant and RXR.

     (b)  Reports on Form 8-K

       The General Partner filed a report on form 8-K in January of 1998.  The
purpose of the filing was a change in independent auditors.  The Fund replaced
Coopers & Lybrand with McGladrey & Pullen, LLP as auditors.






                             INDEX OF EXHIBITS

            (The following exhibits have been previously filed)

Exhibit
                           Description
Number


3.1     Limited Partnership Agreement (attached to the Prospectus as Exhibit
A).

3.2     Subscription Requirements (attached to the Prospectus as Exhibit B).


3.3     Power of Attorney (attached to the Prospectus as Exhibit C).

3.4     Request for Redemption (attached to the Prospectus as Exhibit D).

10.01
       Customer Agreement between Registrant and Rosenthal Collins Group

10.02
       Advisory contract between Registrant and RXR















                                SIGNATURES

     Pursuant to the requirements of Section 13 or 15 (d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed
on

 its behalf by the undersigned, thereunto duly authorized, in the City of
Chicago and State of Illinois on the         day of              , 2002.


THE BALANCED OPPORTUNITY FUND, L.P.                                     STATE
OF ILLINOIS
                                                                       COUNTY
OF COOK
By ROSENTHAL COLLINS FUTURES MANAGEMENT, INC.


                                                     SUBSCRIBED and SWORN to
before me
                                   this           day of              2002


             By J. Robert Collins
                       President




     Pursuant to the requirements of the Securities Exchange Act of 1934, this
report has been signed below by the following persons on behalf of the General

Partner of the Registrant in the capacities and on the date indicated.


By ROSENTHAL COLLINS FUTURES MANAGEMENT, INC.         STATE OF ILLINOIS
 General Partner of the Registrant                       COUNTY OF COOK

                                           SUBSCRIBED and SWORN to before me

                                                          this             day
of 2002


            By J. Robert Collins
                    President








(the above signatories being the principal executive officer of Rosenthal
Collins Futures Management, Inc.)




                             The Balanced Opportunity Fund, L.P.
                     (An Illinois Limited Partnership)

                       INDEX TO FINANCIAL STATEMENTS

                                                                     Pages

Report of Independent Accountants                                     F-2

Financial Statements:
     Consolidated statements of financial condition,                  F-3
       June 30, 2002 and 2001


     Consolidated statements of operations for the                    F-4
       years ended June 30, 2002, 2001, and 2000

     Consolidated statements of changes in partners' capital for      F-5
       the years ended June 30, 2002, 2001, and 2000

     Notes to Consolidated Financial Statements                       F-6/F-8


Schedules are omitted because they are inapplicable or equivalent information
has been included elsewhere herein.





                         INDEPENDENT AUDITOR'S REPORT


To the Partners of The Balanced Opportunity
  Fund Limited Partnership
Chicago, Illinois


We have audited the accompanying consolidated statements of financial
condition of The Balanced Opportunity Fund Limited Partnership as of June 30,
2002 and 2001, and the related consolidated statements of operations and
changes in partners' capital for each of the three years in the period ended
June 30, 2002, and the financial highlights for the year ended June 30, 2002.
 These consolidated financial statements are the responsibility of the
Partnership's management.  Our responsibility is to express an opinion on
these consolidated financial statements based on our audit.

We conducted our audits in accordance with auditing standards generally
accepted in the United States of America.  Those standards require that we
plan and perform the audits to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements.  An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation.  We believe that our
audits provide a reasonable basis for our opinion.

In our opinion, the consolidated financial statements and financial highlights
referred to above present fairly, in all material respects, the consolidated
financial position of The Balanced Opportunity Fund Limited Partnership as of
June 30, 2002 and 2001, and the results of their operations and changes in
partners' capital for each of the three years in the period ended June 30,
2002, in conformity with accounting principles generally accepted in the
United States of America.


Chicago, Illinois
July 25, 2002




THE BALANCED OPPORTUNITY FUND
LIMITED PARTNERSHIP


CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
June 30, 2002 and 2001


ASSETS                                                 2002         2001


Equity in commodity futures trading accounts:
  Cash                                             $1,296,000   $ 151,000
  Net unrealized (loss) on open contracts              (3,000)    (12,000)


      Total equity in commodity futures trading     1,293,000     139,000
accounts


Guaranteed yield pool - at market                          -    1,271,000


Other receivables                                          -        1,000



                                                   $1,293,000  $1,411,000


LIABILITIES AND PARTNERS' CAPITAL


Liabilities
  Accrued administrative expenses                  $   20,000   $  18,000
  Accrued brokerage commissions and fees                2,000       3,000
  Accrued management fees                               4,000       1,000
  Redemptions payable                                  17,000       4,000


          Total liabilities                            43,000      26,000


Partners' Capital
  Limited partners (units outstanding:
    2002 - 542; 2001 - 610)                         1,038,000   1,172,000
  General partner (units outstanding:
    2002 and 2001 - 111)                              212,000     213,000

                                                    1,250,000   1,385,000



                                                   $1,293,000  $1,411,000




The accompanying notes are an integral part of these consolidated
financial statements.






THE BALANCED OPPORTUNITY FUND
LIMITED PARTNERSHIP

CONSOLIDATED STATEMENTS OF OPERATIONS
Years Ended June 30, 2002, 2001 and
2000

                                             2002       2001       2000

Investment income:
  Interest                               $ 86,000   $ 89,000   $ 34,000
  Realized gain                            30,000      5,000     11,000
  Unrealized market value gain (loss)     (41,000)    19,000     59,000
  Interest income                           2,000     10,000     17,000

     Total investment income               77,000    123,000    121,000

Expenses:
  Brokerage commissions                    55,000     65,000     86,000
  Consulting fees                          13,000     16,000     20,000
  Other administrative expenses            80,000     72,000     61,000
     Total expenses                       148,000    153,000    167,000

     Net Investment (loss)                (71,000)   (30,000)   (46,000)

Realized and unrealized gain (loss)
from
  investments and foreign currency:
Net realized gain (loss) from futures      63,000    101,000    (60,000)
trading
Net realized (loss) from foreign currency
  transactions                             (3,000)    (4,000)    (3,000)
                                           60,000     97,000    (63,000)

Net increase (decrease) in unrealized appreciation
  (depreciation) on open futures            9,000    (42,000)    21,000
positions

Net realized and unrealized gain (loss)
  from investments and foreign
  Currency transactions                    69,000     55,000    (42,000)

Net income (loss) resulting from         $ (2,000)  $ 25,000   $(88,000)
operations

Net income (loss) resulting from operations
allocated to:
  Limited Partners                       $ (1,000)  $ 23,000  $ (79,000)

  General Partner                        $ (1,000)  $  2,000   $ (9,000)

Net income (loss) resulting from operations
  per Limited Partner unit outstanding   $    (6)   $     23   $    (96)
  throughout each period





Net income (loss) resulting from operations
  per General Partner unit outstanding  $      (9)  $     18   $    (81)
  throughout each period

The accompanying notes are an integral part of these consolidated
financial statements.




THE BALANCED OPPORTUNITY FUND
LIMITED PARTNERSHIP

CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
Years Ended June 30, 2002, 2001 and 2000



                               Total
                             Number of    Limited    General
                               Units     Partners    Partner       Total

Balance, June 30, 1999         1,143    $2,042,000  $  220,000  $2,262,000

  Redemption of units of
Limited
    Partnership interest        (209)     (401,000)          -     (401,000)
  Net (loss) resulting from
    operations                    -        (79,000)      (9,000)     (88,000)

Balance, June 30, 2000           934     1,562,000     211,000   1,773,000

  Redemption of units of
Limited
    Partnership interest        (213)    (413,000)          -     (413,000)
  Net income resulting from
    Operations                    -        23,000        2,000      25,000

Balance, June 30, 2001           721    1,172,000      213,000   1,385,000

  Redemption of units of
Limited
    Partnership interest         (68)    (133,000)          -     (133,000)
  Net (loss) resulting from
    operations                    -        (1,000)      (1,000)      (2,000)

Balance, June 30, 2002           653    $1,038,000  $  212,000   $1,250,000

                                                      June 30,
                                                        2002        2001

Net asset value per unit, Limited
Partner                                              $  1,915.13  $  1,921.31

Net asset value per unit, General
Partner                                              $  1,909.91  $  1,918.92

The accompanying notes are an integral part of these consolidated
financial statements.




                        THE BALANCED OPPORTUNITY FUND
                             LIMITED PARTNERSHIP

                        NOTES TO FINANCIAL STATEMENTS



Note 1.Organization of the Partnership and Significant Accounting Policies

General Description of the Partnership:  The Balanced Opportunity Fund Limited
Partnership (The Fund or the Partnership) was organized under the Illinois
Revised Uniform Limited Partnership Act in July 1989 to engage in the
speculative trading of commodity futures, forward contracts, and other
commodity interests.  It is subject to the regulations of the Commodity
Futures Trading Commission (CFTC), an agency of the U.S. Government that
regulates most aspects of the commodity futures industry, the rules of the
National Futures Association (NFA), an industry self-regulatory organization,
and the requirements of commodity exchanges where the Partnership executes
transactions.  Additionally, the Partnership is subject to the requirements of
futures commission merchants (FCMs) through which the Partnership trades.

50,000 units of Limited Partnership interest were available during the initial
offering period.  The Partnership is closed and not presently selling
additional units.

The General Partner and each Limited Partner share in the profits and losses
of the partnership in proportion to their respective interest in the
partnership.  A Limited Partner's loss is limited to the amount of his or her
investment.

Approximately 80 percent of the Fund's assets at the commencement of trading
was invested in zero coupon United States Government Treasury Securities
(Stripped Notes) so as to yield (i) $1,000 per unit, plus (ii) a five percent
compound  annual  yield  approximately  six  and  one-half  years  after  the
commencement of trading (the Guaranteed Yield Pool).  Due to the interest rate
sensitivity of the market value of the Stripped Notes, persons who redeem
prior to the dissolution date have no such assured return.  The Guaranteed
Yield Pool note matured in February 1997 and in accordance with the Fund's
limited partnership agreement, a special redemption at the Fund's net asset
market value was offered to investors on February 28, 1997.  A new Stripped
Note was purchased after the special redemption offer expired.  As of June 30,
2002 and 2001, the maturity value of the Stripped Notes amounted to $0 and
$1,350,000, respectively.  The Stripped Note was sold in June 2002 in
anticipation of the dissolution of the Fund effective June 30, 2002 (See Note
12).  At June 30, 2002, the Fund's assets were invested in the Trading Company
in which the Fund is the sole limited partner and possessor of substantially
all the beneficial interest.

The two-tier structure of the Fund and the Trading Company insulates the
Guaranteed Yield Pool against any liability for losses which might be incurred
by the Trading Company.  Consequently, the Fund controls all of the
substantive activities of the Trading Company and, as such, has consolidated
its results for financial reporting purposes.





The Fund has elected not to provide statements of cash flows as permitted by
Statement of Financial Accounting Standards No. 102, Statements of Cash Flows
- Exemption of Certain Enterprises and Classification of Cash Flows from
Certain Securities Acquired for Resale.






Note 1. Organization of the Partnership and Significant Accounting Policies
(continued)

Significant accounting policies are as follows:

Principles of consolidation:  All material intercompany accounts and
transactions are eliminated in consolidation.  The consolidated financial
statements include the Trading Company and the Guaranteed Yield Pool
(collectively, the Fund or the Partnership).

Accounting estimates:  The preparation of financial statements requires
management to make estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and reported amounts of revenues and
expenses during the reporting period.  Actual results could differ from those
estimates.

Revenue recognition:  Futures contracts are recorded on trade date and gains
or losses are realized when contracts are liquidated.  Unrealized gains or
losses on open contracts (the difference between contract purchase price and
market price) at the date of the statement of financial condition are included
in equity in commodity futures trading accounts.  Any change in net unrealized
gain or loss from the preceding period is reported in the statement of
operations.  Market value of futures contracts is based upon exchange
settlement prices.

Foreign exchange gains and losses:  The Partnership trades in foreign
denominated contracts.  Realized foreign currency gains result from closed
foreign currency contracts and other foreign currency denominated contracts.
The Partnership does not separately report the effect of changes in foreign
currency rates from changes in other market prices on open contracts.  Such
changes are included in net realized and unrealized gain (loss) from
investments and foreign currency transactions.

Transaction fees and costs:  Transaction fees and costs are accrued at
approximately $50 per contract on a round-turn basis adjusted to equal 4
percent of the average annual net assets of the Partnership.  Also, the
Partnership incurs ongoing legal, accounting, and administrative costs.

Consolidated statement of operations:  The presentation of the consolidated
statement of operations has been reformatted to comply with Statement of
Position 01-1, Amendment to Scope of Statement of Position 95-2, Financial
Reporting by Nonpublic Investment Partnerships, to include Commodity Pools.

Income taxes:  No provision for federal income taxes has been made in these
financial statements as each partner is individually responsible for reporting
income or loss based on his respective share of the Partnership's income and
expenses as reported for income tax purposes.  The Partnership is required to
pay an Illinois replacement tax of 1.5% of net income related to those limited
partners who are not otherwise subject to the tax.

Dissolution of Partnership:  The Partnership will terminate on December 31,
2009, or upon the occurrence of an event causing termination of the
Partnership, as defined in the Agreement of Limited Partnership.  (See Note
12.)





Right of setoff of certain amounts:  Pursuant to the Trading Company's
agreement with its FCM, all balances placed on deposit with such broker,
whether used for trading purposes or not, are available to be used for margin
purposes on any exchange and for any contract in which the Trading Company
trades.  The Trading Company has similar agreements with a financial
institution for its over-the-counter contracts.  As a result, the consolidated
financial statements only present the net asset or liability relating to such
trading activities.

Note 2.General Partner

The Fund's General Partner is Rosenthal Collins Futures Management, Inc., a
Delaware corporation.  The General Partner is a wholly owned subsidiary of
Rosenthal Collins Group, L.P., an Illinois Limited Partnership. Rosenthal
Collins Group, L.P. is a registered Futures Commission Merchant and serves as
the clearing broker.  The General Partner conducts and manages the business of
the Partnership and was required by the Limited Partnership Agreement to make
an initial investment in the Partnership equal to the lesser of $100,000 or 3%
of the total contributions to the Partnership, but in no event less than 1% of
such contributions.

Note 3.Related Party Transactions

The Partnership pays Rosenthal Collins Group, L.P. 0.333 of 1% (a 4% annual
rate) of the Partnership's month-end assets for brokerage and other services.
 Furthermore, the Partnership pays all "give-up" fees, as defined.  For the
years ended June 30, 2002, 2001 and 2000, brokerage commission expenses
totaled $55,000, $65,000 and $86,000, respectively.  As of June 30, 2002 and
2001, brokerage commissions payable to the General Partner were $2,000 and
$3,000, respectively.  See also Note 4 for transactions with the trading
manager.

Note 4.Trading Manager

RXR serves as the trading manager for the assets of the Trading Company.
Compensation to RXR for its services is as follows:

Consulting fee:  The Trading Company pays a consulting fee at a one percent
annual rate based upon the average month-end net assets of the Partnership
before reduction for any brokerage commissions or other charges as of such
month-end.  Consulting fee expense was $13,000, $16,000 and $20,000 for the
years ended June 30, 2002, 2001 and 2000, respectively.  As of June 30, 2002
and 2001, accrued consulting fees were $4,000 and $1,000, respectively.

Incentive fee:  The Trading Company pays an incentive fee to RXR equal to 15
percent of any new trading profit (which includes interest income) achieved by
the Trading Company in each calendar quarter.  Such incentive fee is accrued
in each month in which "New Appreciation" occurs.  In those months in which
New Appreciation is negative, previous accruals, if any, during the incentive
period will be reduced.  In those instances in which a limited partner redeems
an investment, the incentive fee is to be paid to RXR through the calendar
year quarter.  No incentive fees have been paid during the three years ended
June 30, 2002, 2001 and 2000.




Note 5.Distributions and Redemptions

A Limited Partner may request and receive redemption of units owned as of any
calendar quarter-end upon ten days' written notice to the General Partner.

The General Partner does not presently intend to make regular distributions of
either profits or capital to Limited Partners, although it may, if doing so,
not reduce the Partnership's asset base to a level which would impair the
Partnership's objectives.  In the event that the Partnership recognizes
substantial profits, the General Partner may reconsider, but there can be no
assurance whatsoever that any distributions will be made.  Accordingly, the
Limited Partners may incur current income tax liabilities in excess of any
distributions received by them from the Partnership.  See Note 12.

Note 6.Deposits With Brokers

The Partnership deposits cash and U.S. Government securities with FCMs subject
to CFTC regulations and various exchange and broker requirements.  Margin
requirements are satisfied by the deposit of cash and securities with such
FCMs.  The Partnership earns interest income on its cash deposited with the
FCMs.

Note 7.Schedule of Investments

At June 30, 2002, the Partnership's assets were primarily cash on deposit with
FCMs.  The Partnership also had open futures contracts on various underlying
commodities, all with delivery dates in 2002 and with an unrealized net loss
(market value) of $3,000.

Note 8.Financial Highlights

The following financial highlights reflect activity related to the limited
partner class only.  Total return is based on the change in value during the
period of a theoretical investment made at the beginning of each calendar
quarter of the year ended June 30, 2002.  An individual limited partners'
return may vary from this return based on several factors.

Per unit Operating Performance (For a limited partnership unit outstanding
throughout the period from July 1, 2001 to June 30, 2002):

Net asset value, July 1, 2001                               $1,921.31

Income from investment operations:
  Net investment (loss)                                      (113.96)
  Net realized and unrealized gain from
    investments and foreign currency transactions             107.78
  Total from investment operations                             (6.18)

Net asset value, June 30, 2002                              $1,915.13

Total Return:                                                  (0.03)%

Supplemental Data:
Net assets applicable to Limited Partners, June 30, 2002   $1,038,000





Ratio to average net assets:
  Expenses                                                   10.78 %
  Net investment (loss)                                      (5.13)%

Note 9.Net Income (Loss) Per Unit

The net income (loss) per Limited Partnership unit outstanding throughout each
period is the difference between the net asset value per unit at the beginning
and end of the period.





Note 10.  Trading Activities and Related Risks

The Partnership engages in the speculative trading of U.S. and foreign futures
contracts, options on U.S. and foreign futures contracts, and forward
contracts (collectively, derivatives).  Trading gains (losses) from
derivatives for the years ended June 30, 2002, 2001 and 2000, are reflected in
the statements of operations.  Such trading results reflect the net gain
(loss) arising from the Partnership's speculative trading of futures
contracts, options on futures contracts, and forward contracts.  These
derivatives include both financial and nonfinancial contracts held as part of
a diversified trading strategy.  The Partnership is exposed to both market
risk, the risk arising from changes in the market value of the contracts; and
credit risk, the risk of failure by another party to perform according to the
terms of a contract.

The purchase and sale of futures and options on futures contracts requires
margin deposits with FCMs.  Additional deposits may be necessary for any loss
on contract value.  The Commodity Exchange Act (CEAct) requires an FCM to
segregate all customer transactions and assets from the FCM's proprietary
activities.  A customer's cash and other property (for example, U.S. Treasury
bills) deposited with an FCM are considered commingled with all other customer
funds subject to the FCM's segregation requirements.  In the event of an FCM's
insolvency, recovery may be limited to a pro rata share of segregated funds
available.  It is possible that the recovered amount could be less than the
total of cash and other property deposited.

For derivatives, risks arise from changes in the market value of the
contracts.  Theoretically, the Partnership is exposed to a market risk equal
to the value of futures and forward contracts purchased and unlimited
liability on such contracts sold short.  As both a buyer and seller of
options, the Partnership pays or receives a premium at the outset and then
bears the risk of unfavorable changes in the price of the contract underlying
the option.  Written options expose the Partnership to potentially unlimited
liability; for purchased options the risk of loss is limited to the premiums
paid.

The General Partner has established procedures to actively monitor and
minimize market and credit risks.  The Limited Partners bear the risk of loss
only to the extent of the market value of their respective investments and, in
certain specific circumstances, distributions and redemptions received.

Note 11.  Fair Value of Financial Instruments

The Partnership believes that the carrying value of its financial instruments
is a reasonable estimate of fair value.  Equity in commodity futures trading
accounts and the United States Treasury securities are recorded at market
using market quotations from the Partnership's FCM.  The fair value of all
other financial instruments reflected in the statement of financial condition
(primarily receivable from commodity broker and accrued expenses) approximates
the recorded value due to their short-term nature.  The General Partner
reviews the trading advisor's market activity on a daily basis and is
appraised of general futures market activity on an ongoing basis.





Note 12.  Subsequent Event

In June 2002, the General Partner decided to dissolve the Partnership
effective as of June 30, 2002. In July 2002, the Partnership liquidated its
assets and made final distributions to the partners of the Partnership.